Best Payday Loan Alternatives for Bad Credit of October 2024
The gap between payday loans and personal loans is huge. Alternative payday loans can be categorized as everything that is between personal loans and payday loans. They offer up to $5,000, and the APR is typically between 35.99% to 400%. Alternative payday loans approve people with really bad credit. Most of them even don’t check people’s credit histories. However, they check your income, debt-to-income ratio, workplace, etc. Be careful because these loans are still expensive, and there is a risk of the debt cycle. However, they can save people with really bad credit and no other options than payday loans.
In this guide, we will explain everything about them. However, before reading the article, we highly recommend that you watch our video on personal loans. There we explain how people with bad credit can get approved on a personal loan.
Best Payday Loan Alternatives for Bad Credit of October 2024
| Loan Company: | Min. Credit Score: | APR: | Amount: |
|---|---|---|---|
| ZippyLoan | 0 | Vary | $100 – $15,000 |
| LifeLoans | 0 | Vary | $100 – $40,000 |
| VivaLoan | 0 | Vary | $100 – $15,000 |
| PickALender | 0 | Vary | $100 – $40,000 |
| FundsJoy | 0 | Vary | $100 – $5,000 |
| WhiteRockLoans | 0 | Vary | $100 – $5,000 |
| OppLoans | 0 | 59% – 160% | $500 – $4,000 |
| RiseCredit | 0 | 60% – 299% | $500 – $5,000 |
| NetCredit | 0 | 34% – 155% | $1,000 – $10,000 |
| PossibleFinance | 0 | 150% – 200% | $50 – $500 |
| FigLoans | 0 | 176% – 229% | $50 – $800 |
What are Alternative Payday Loans?
When it comes to bad credit, people often end up getting payday loans. Do you know that there is a totally new type of loan company called alternative payday loans? Many people don’t even know about them and skip them …
If we have to categorize online loans, there are two main loans: personal and payday loans. Personal loans come with an APR of less than 35.99% and up to $100,000. Payday loans typically come with an APR of 400% and an amount of up to $1,000.
If you have bad credit, your chances to qualify for a personal loan with an APR of up to 35.99% are limited. Many people who don’t qualify for online personal loans end up with predatory payday loans. Don’t do this!
The lending market is much more flexible these days. Alternative payday loans have entered the stage.
Although there is no official definition, we typically define them as loans between personal and payday loans.
In brief, these are online loans that are more expensive than personal loans and offer less money, but getting approved for them is super easy.
There is still insufficient information on this topic, and we decided to dig deep into these companies and explain everything about them. Are they a good option? Are they legit, or maybe predatory like payday loans? When to use them, and when not? We will answer all of the questions and explain everything in detail, but before that, let us give you an overview of all options to borrow money if you have bad credit. You are probably reading this article because you have bad credit and want to learn more about all the options, right?
Online Unsecured Personal Loans. If you qualify, you can get up to $100,000 with an APR of up to 35.99%.
Online Secured Personal Loans. Secured loans are like regular personal loans, but the lender requires you to put something as collateral.
Alternative Payday Loans. We will explain more about them carefully later in this article.
Credit Cards for Bad Credit.
Credit Unions and Banks. Most banks will say no to bad credit. However, credit unions try to evaluate more factors like your ability to pay off the loan, but they still have some requirements, which are not too strict. Still, you won’t be approved if you don’t meet them.
Other options. We will discuss these later.
OppLoans
 | |
| Loan Amount: | $500 – $4,000 |
| APR: | 59% – 160% |
| Min. Credit Score: | 0 |
| Approval: | < 1 Day |
| Terms: | 9 – 18 Months |
| Origination Fee: | N/A |
| DTI Ratio: | N/A |
| CHECK RATES | |
OppLoans is a perfect example of alternative payday loans. According to the law, the amount they offer is up to $4,000, but it can be less in some states. OppLoans APR is 59% to 160%.
OppLoans Currently Offers Installment Loans in:
Alabama
California
Delaware
Georgia
Idaho
Illinois
Mississippi
Missouri
Nevada
New Mexico
Ohio
South Carolina
Texas
Utah
Wisconsin
OppLoans Currently Offers Line of Credit Product in:
Kansas
Tennessee
Virginia
Loans Originated and Funded by FinWise Bank:
Alaska
Arizona
District of Columbia
Florida
Hawaii
Indiana
Kentucky
Louisiana
Maine
Michigan
Minnesota
Montana
Nebraska
North Dakota
Oklahoma
Oregon
Rhode Island
South Dakota
Washington
Wyoming
Pros:
- OppLoans won’t check your credit score.
- Lower APR than traditional payday loans.
- Higher loan amount than payday loans.
- Loans with instant approval.
Cons:
- More expensive than personal loans.
- Lower loan amount than personal loans.
- Not available in many states because of law regulation.
Best for: Really Bad Credit